In Case You Missed It: RI Unemployed Hit by Big NY Bank Fees

"In Case You Missed It," GoLocal's weekend feature, puts the week's top stories in one easy place for you to review and read. Check out what dominated the news cycle this week in Providence and get all the details with these easy links.

State of RI Slams Unemployed with High Fees Tied to JPMorgan Chase

A New York-based bank with no branch locations in Rhode Island has saddled recipients of unemployment benefits with hidden credit card-style fees as much as five times what state officials say they should be, a GoLocalProv investigation has found.

About a fifth of all Rhode Islanders on unemployment receive their benefits through an electronic payment card (EPC) similar to a debit or credit card that is issued by JPMorgan Chase Bank. The cards are meant to provide easy access to benefits for thousands of recipients, in most cases with no fees and, in the few instances where a fee is charged, the maximum would be $5 for teller withdrawals at a bank, state and JPMorgan Chase officials said in interviews.

Read more about the RI unemployment fees tied to JPMorgan Chase Bank HERE.

Related Slideshow: See How Much Providence Pays in Pension Fund Fees

Per investment information obtained by GoLocal, the following are the management fees paid by the City of Providence Employees Retirment System (as of April 2013 -- Graham Global funds were moved at the last city Investment commission meeting).

Note: The quarterly advisory fee paid to the Investment Manager is 0.1250% (0.50% per annum) of the Fund’s net assets on a quarterly basis when the Fund’s quarterly return is equal to or less than the return on the 90-day US Treasury bills plus 1.25%. The advisory fee will ratably increase, depending on the Fund’s performance, up to a maximum of 0.6250% per quarter (2.50% per annum).

Note: Management fee is charged on committed capital and is equal to 2.5% during the first six years of the fund; 1.5% for the next two years and 1.0% thereafter. Point Judith also charges a performance fee of 20%.